President Biden’s $174 billion EV stimulus plan includes $100 billion in new consumer rebates and $15 billion to build half a million new EV charging stations, Reuters reported. EV stocks rallied.
But it’s still unclear if the plan will lift the 200,000-vehicle cap to qualify for EV rebates, as some on Wall Street have been expecting.
Reuters cited a Transportation Department email to congressional staff. Politico reported the email earlier.
Biden’s proposals for boosting sales of electric cars are part of a $2.3 trillion infrastructure and jobs proposal. The plan also calls for $20 billion for electric school buses, $25 billion for electric transit vehicles and $14 billion in other tax incentives, according to Reuters.
Tesla stock rose 1.9% to 683.99 in Thursday’s stock market trading. Among other EV stocks, Lordstown climbed 4.9%, Canoo added 4% and Fisker edged up 0.1%.
Biden also plans to build a national network of 500,000 EV chargers by 2030, through grants and incentives to states and cities. That’s five times the size of the national network now.
AlixPartners estimates $300 billion is needed to build out a global charging network to accommodate the expected growth of EVs by 2030, including $50 billion in the U.S. alone.
Uphill Road Ahead
Moreover, Biden’s EV proposals face an uphill road in Congress, where Democrats and Republicans are united on developing the nation’s infrastructure but divided on how to pay for it.
On Thursday, Blink announced that it will install 42 charging ports at 10 Four Brothers Pizza Inn locations across New York. The company has been winning grants and awards to deploy fast-charging stations in states such Ohio, Vermont and Texas.
Find Aparna Narayanan on Twitter at @IBD_Aparna.
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